McDonalds

We have walked the walk, but haven’t talked the talk…

Aim

Market an existing product (McChicken Premier)

in a green/environmental friendly way Sensitive McDonalds image

Group

Ahmet Dager Deepak Bansal Tom A Trosterud Tore Hovemoen

Why the McChicken Premier

Low market share Opportunity to increase

Redundant Packaging Increase the level of recycled paper used

Emphasise the low fat content Compared to others in our product range

Filling customer needs Customers informed

Why the relaunch

Reach new customers Education

Educate customers about the green and environmental issues in the company Talk the talk

Branding Green issues – social awareness

Increasing the market share Quality on the burger (tangible and intangible) The market is out there!

How to relaunch the product

New promotion strategy Image buliding

A slight change of ingredients Tomato, onion or others

Modify packaging Paper vs box

Emphasise intangible assets White meat Green

Segmentation

Behavioural Knowledge and attitudes Substitute to the regular McChicken

Undifferentiated Targeting Stimulate as many as possible

Positioning Quality and price

The Marketing Mix

Product Place Price Promotion

Product

Ingredients Keep the ingredients, but give it a little facelift

Research result Onion 50% Tomato 22% Others 28%

Keep on the good work with production Packaging

Convince the customer that it’s a green/environmental

product

Packaging cont.

Packaging cont.

Different facts We use no genetically modified food All meat has come from a clean, safe environment We use humane slaughter methods

Health issues Change the menu Small size and alternative drinks

Place

“In addition to our food and paper suppliers, we work closely with our distributor company to minimize environmental impacts”,

(“Our environment”, June 2003 p.18) Local distributors and different

environment programs

Price

The price has to reflect the good quality New prices:

McChicken premiere: 2.39 to 2.50 Small menu: 3.20 Medium menu: 3.59 to 3.70 Large menu: 3.89 to 4.00

Promotion

AIDA Advertising

TV Billboard Magazine

TV-advertisement

Promotion

AIDA Advertising

TV Billboard Magazine

Branding Public relations

Conclusion

McChicken Premier has the ”Spotlight”, which will increase the awareness of it.

To meet present social requirements, we need to emphasise branding and the intangible assets in our portfolio

By changing our promotion strategy, we are now trying to Walk the walk and talk the talk simultaneously

References

Brassington & Pettitt (2003), `Principles of Marketing, 3rd Edition´, PH

McDonald’s Education Services (2003), `McDonald’s Fact File´, The Corporate Affairs Department

McDonalds. (2004) McDonalds Online. Retrived on Nov. 18 2004, from: http://www.mcdonalds.co.uk

Burger King. (2004) Burger King Online. Retrieved on Nov. 22 2004, from: http://www.burgerking.co.uk

KFC. (2004) KFC Online. Retrieved on Nov. 22 2004, from: http://www.kfc.co.uk

Our environment, June 2003 Corporate responsibility report, 2004